U.S. Demand for Soy chemicals to increase

Demand for soy chemicals is forecast to increase 7.8% per year to $2.7 billion in 2013 in the U.S., according to “Soy Chemicals,” a new study from The Freedonia Group Inc. The success of the soy chemicals industry is dependent on the continued penetration of biodiesel, as well as the adoption of alternatives to traditional, petrochemical-based materials in the manufacture of industrial products. Methyl soyate is by far the most established soy chemical. It is finding greater use as a solvent in a variety of markets including cleaning products and paint and coatings. Other soy oil derivatives, such as polyols, will benefit from corporate initiatives to use more renewable feedstocks, as well as from consumer demand for “greener” products, particularly in the plastics and paint and coatings markets.